Capitol Fax.com - Your Illinois News Radar

Huge collateral damage caused by Rauner AV

Saturday, Aug 5, 2017 - Posted by Rich Miller

[Comments are now open.]

* The Civic Federation writes about the governor’s AV of SB1. You should read the whole thing, but let’s focus on this topic…

Therefore, school districts that are subject to PTELL [property tax caps] and school districts that have TIF districts within their borders are more likely to lose out on additional funding the State may provide in FY2018 and future years. School districts not subject to PTELL and that do not have TIF within their borders are more likely to gain some of that additional funding.

* Just one of those two changes made by the governor would cost the Peoria Public Schools a million bucks…

Rauner has said cutting subsidies for tax-caps and TIF districts would end school districts’ tendency to under-report property wealth and, subsequently, their capacity to pay for an adequate education. But TIF districts have long been a bone of contention between municipalities and school districts, with school districts saying TIF districts deprive them of revenues generated by growing property values. Ending the subsidies would be a double-whammy.

PPS officials estimate the district could lose $1 million without a state subsidy for the effects of TIF districts. [Emphasis added.]

A million bucks, just from one change in one school district.

* Now, imagine the ruckus once these other school districts do their own calculations…

Wait. Hasn’t the governor said for weeks and weeks that his AV wouldn’t take any money from any district? Hmm. That’s odd.

* So, why did Gov. Rauner make these brand new changes?…

* I explain more in my weekly newspaper column which was written before those Peoria numbers were released. Click here.

Talk to you Monday.

18 Comments

The primary avalanche begins

Friday, Aug 4, 2017 - Posted by Rich Miller

* We’re going to see lots more of these, unless every Republican who voted for the tax hike simply retires (and many will). And while I don’t know much about this specific situation yet, a lot of primary opposition to Republicans who voted for the tax hike will be organic. The dominant wing in the GOP these days hates taxes, no matter how needed they might be. So some just won’t wait for the big anti-tax players (like Dan Proft) to make a decision before they jump in…

Pittsfield businessman Jonas Petty says he looks forward to bringing his conservative values to the Illinois House.

“My values will align with my actions,” he said.

Petty, 38, is running in the Republican primary against state Rep. C.D. Davidsmeyer of Jacksonville in the 100th House District. [..]

Davidsmeyer was one of 15 House Republicans who joined Democrats and voted for a budget last month – after the state went two years without one – that was opposed by Republican Gov. Bruce Rauner. After Rauner vetoed the actions, Davidsmeyer later voted against the override, but 10 Republicans did, allowing the budget to take effect.

“I don’t believe you can call yourself a conservative and vote for a tax hike with no reform,” Petty said.

Davidsmeyer responded later that, “To say you’re a conservative and stand by and not pay your bills is not a good thing either.” He had noted when he voted for the budget, including an increase in the income tax on individuals from 3.75 percent to 4.95 percent, that he was worried the state backlog of bills could grow from what was about $15 billion to $25 billion; and he was concerned about a potential state bond-rating downgrade to junk status.

Rep. Davidsmeyer voted against the veto override motion, but that won’t spare him much grief.

…Adding… Related…

* Potential successors emerge as Mitchell says he will not seek re-election

20 Comments

« NEWER POSTS